Only a few years ago, before the hydro-fracking and shale revolution overturned the economics of U.S. oil production, the United States was the world's largest oil importer by far and prohibited exports of oil by law.

Now shipments of U.S. crude into Europe have just hit a new record. January imports were 630,000 barrels per day, still - behind Russia and Iraq but above other OPEC producers including Nigeria and Libya.

Higher U.S. crude exports have been helped by lower supplies of Iranian and Venezuelan crude, which Washington has put under sanctions, scaring buyers across the world.

In the whole of 2018, U.S. supplies to Europe doubled to 430,000 bpd, according to Refinitiv Eikon flows data. That represented 6 percent of overall imports or equal to the levels of Iranian oil imports to Europe before the United States imposed fresh sanctions on Tehran.

"U.S. crude is a real headache. It puts a lot of pressure on regional light grades. In fact, prices for all grades are affected because it is such a significant extra supply," said a trader with a European trader selling Russian oil.

Pressure will likely only increase as for 2019 U.S. crude oil production is expected to average 12.06 million bpd, up 1.18 million bpd from last year, Future predictions say the United States could produce as much as 15 million bpd of crude and up to 20 million bpd of total oil liquids, giving it complete self-sufficiency as it would fully cover its consumption of 18-19 million bpd.

Booming U.S. production has prompted OPEC and major non-OPEC producers like Russia to slash output by 3-4 percent since 2017 to prop up prices. The pact has helped double prices to $60 per barrel but at the expense of a market share loss to U.S. firms.

Geostrategic sea change. The 70’s oil embargo brought the U.S. to its knees and contributed not only to transportation crises but to inflation as well. The 90’s threat to interfere with oil transportation in the Straits of Hormuz caused a major political panic. “No Blood For Oil” was a rallying cry on the Left, where anything that gave the U.S. a hard time was and still is welcomed. Now? Now they’re cutting production to prop up prices and looking over their shoulders. Offense to defense. Huge change.

“New York State would have a lot more money but the cannot drill for oil in the state or build any pipelines...fools all”
Maybe Pennsylvania can do some horizontal drilling and use the oil New York doesn’t want!

"We shouldnt be selling ANY of it abroad, at least not until Im paying less than 50 cents a gallon. "

Yep! However, I won't be happy until it falls to $0.19 per gallon... That was the price when I got my drivers license (12 years old) and first car... Although there were Jenny stations the would beat that price by 2-to-3 cents... Also, it was good exercise, when getting gas, having to crank the handle to pump the gas...

10
posted on 02/11/2019 11:46:44 AM PST
by SuperLuminal
(Where is Sam Adams now that we desperately need him)

Pressure will likely only increase as for 2019 U.S. crude oil production is expected to average 12.06 million bpd, up 1.18 million bpd from last year, Future predictions say the United States could produce as much as 15 million bpd of crude and up to 20 million bpd of total oil liquids, giving it complete self-sufficiency as it would fully cover its consumption of 18-19 million bpd.

We need to get it while we can, as the EU is trying (via diktat) to eliminate the use of liquid hydrocarbon fuels for transportation. Thanks Hojczyk.

I am still surprised that lawyers have not found enough diseases to charge the oil companies with. Many of us have worked in refineries where TEL was blended into natural gasoline. We deserve compensation.

I am still surprised that lawyers have not found enough diseases to charge the oil companies with. Many of us have worked in refineries where TEL was blended into natural gasoline for octane adjustment. We deserve compensation.

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